FLINT, MI – Holding signs reading “Fairness For All Retirees,” “Obama Restore Our Pensions,” and “Return What We Earned” flapping in the warm afternoon breeze, around 200 retired Delphi employees rallied along Saginaw Street demanding reinstatement of full pensions after some lost up to 70 percent of their payments three years ago.

“You don’t have what you planned on all those years,” said Anna Thomas, a Delphi employee of 33 years who along with husband Tom Keel lost at least half their pensions, following a bankruptcy and reorganization by the company. “We deserve to get our pensions back.”

Roughly 22,000 salaried employees -- including around 6,000 current
and retired Michigan employees -- had a 100 percent cut to their health
care and life insurance, part of their “total compensation” pension
package, said Skip Davis, a 34-year employee, who found out about the
decision in an e-mail correspondence.

“Not to be treated equally
when we’re all going through it…it is tough,” said Davis, who last
worked as a personnel employee notifying those retiring of their
benefits package. “But when you’re told it all is going to be equal is
the ultimate betrayal.”

A letter from the Delphi Salaried Retirees Association (DSRA) states in May 2009 the Pension Benefit Guaranty Corporation (PBGC), which pension benefits were turned over to by Delphi, met with the federal treasury department, Delphi Corporation, General Motors and UAW representatives to reach a settlement on bankruptcies involving Delphi and GM and impact on pensions.

Those employees represented by the UAW have kept their full pension, but DSRA board chairman Dennis Black said via speaker phone being piped into speakers at the rally that “Our adversaries have nothing to do with our union counterparts,” while pointing the finger at the treasury department and auto task forced started in 2009 by the federal government.

Retired employees filed a federal lawsuit against the PBGC in November 2009, claiming the pension termination was not warranted and violated Employee Retirement Income Security Act laws.

Chuck Cunningham, DSRA Legal Committee chairman, told the crowd over the phone that the pension decision is “a violation of several of our constitutional right and it’s illegal” and urged those employees involved in the lawsuit to continue voicing their concerns.

“This is by no mean the time to throw your hands up and say we can’t fight city hall,” he said. “Keep on keeping on. We’ll never, never, never give up.”

While the PBGC is currently the only entity being sued, Cunningham said the treasury department could be included in the lawsuit at any time but they hoped to avoid lengthy, costly litigation.

He said assets transferred to the PBGC upon termination of the pension fund, a statutory requirement by the PBGC, and money from sale of GM-owned Delphi stock transferred to the PBGC would cover a large portion of the pension amount and not involve taxpayer dollars.

The lawsuit is currently in the discovery phase, with DSRA legal representatives pouring over thousands of documents from the PBGC.

Davis, who lost 30 percent of his pension but obtained health insurance as have other employees through the Voluntary Employee Beneficiary Association, remains hopeful of a resolution and reinstatement of the pension.

"I support them," he said of the lawsuit by the DSRA. "I'm in this for the long haul."